Income Statement Ratio The income statement of Ivy Enterprises shows operating revenues of $200,000, telling expenses of $52,070, general and administrative expenses of $48,260, interest expense of $390, and income tax expense of $25,780. TV's stockholders' equity was $285,000 at the beginning of the year and $315,000 at the end of the year. The company has 40,000 shares of stock outstanding at the end of the year. Required: Ivy's profit margins and is a good indicator of its profitability. For the calculation of its profit margin to be useful, two key factors should be used: and